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EBay is taking on Amazon Prime and Wal-Mart in guaranteed delivery, free shipping

Devin Wenig, incoming CEO of eBay.
David A. Grogan | CNBC
Devin Wenig, incoming CEO of eBay.

The e-commerce battle to get consumers what they want, when they want it, rages on.

On Monday eBay announced that this summer its shopping platform will guarantee three-day delivery in the U.S. on more than 20 million items.

Millions of those eligible items will also come with free shipping, according to the company's press release. And shoppers will be able to filter items by one- and two-day delivery.

This news comes as the world's largest retailer, Wal-Mart, announced earlier this year that it will offer free two-day shipping on more than 2 million items, when shoppers spend at least $35. The previous threshold of spending — to receive the free two-day shipping — was $50.

In February 2005, Amazon launched Amazon Prime, which now has more than 50 million members in the U.S., according to research from Cowen and Co. And according to data from Kantar Retail, the biggest reason Prime members renew their subscriptions is for the free two-day delivery.

EBay is the latest retailer to beef up its shipping options for customers, as speed is becoming a necessity for many these days.

"Today's shoppers expect fast delivery and want to know exactly when their purchases will arrive," the company wrote in Monday's press release. EBay said it has more than 167 million active buyers on its e-commerce platform today.

Bix-box retailer Target rolled out free shipping for the holidays and spent $1 billion in 2016 to upgrade its e-commerce platform. The company now has a threshold of $25 for orders to receive free shipping, dropping from what used to be a minimum amount spent of $50.

EBay said it hopes the summer launch of "guaranteed delivery" will bring more sales, more control for sellers and happier customers.